WINNIPEG, Manitoba, May 2 (Reuters) - Cargill Ltd will take on private Canadian grain handler Parrish and Heimbecker as an equal partner in its grain terminal at the Port of Thunder Bay, Ontario, the U.S.-based agrifood giant said on Thursday.
Cargill said it had agreed to a joint venture with P&H to own and operate the terminal. The companies intend to close the deal by May 31.
The deal will help build a more sustainable business at the Thunder Bay terminal, which is underused, said Len Penner, president of Cargill Ltd, the company’s Canadian operation, based in Winnipeg.
The port at Thunder Bay, closed during the coldest months, provides access for ships to move through the Great Lakes and reach the Atlantic Ocean via the St. Lawrence Seaway.
Cargill is Canada’s third-largest grain handler, behind Viterra Inc, owned by Glencore Xstrata PLC, and Richardson International Ltd.